Australian-listed Cromwell Property has sold its half-stake in Sydney’s Northpoint Tower for A$300m after purchasing the Altitude Corporate Centre in the same city for $113.28m.
Northpoint Tower (image: Cromwell Property)
Cromwell sold its interest in the 44-storey office and retail tower to Hong Kong-based Early Light International, which will own the entire property after buying a 50% interest from Redefine Properties last year.
The seller initially bought its stake in the North Sydney property for $139.35m in 2013 and then commenced a $130m redevelopment that was completed last year.
The sale comes as the firm gathers funds for an acquisition pipeline worth more $1bn, as well as over $1bn of value-add development opportunities.
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“Cromwell continues to identify value-enhancing investment opportunities across both its Indirect and Direct Property Investment segment that will deliver medium-term growth in enterprise value and realise significant capital returns for securityholders,” said Cromwell CIO Rob Percy.
The company also announced its Cromwell Direct Property fund had acquired the A-grade Altitude Corporate Centre in Sydney’s Mascot area.
The 10-storey property is fully let to long-term tenants Electrolux and Winc, with a weighted average lease expiry (WALE) of 6.8 years.
“Altitude Corporate Centre is located in one of the strong growth markets in Metropolitan Sydney, benefiting greatly from the new Sydney Metro,” said CBRE NSW state director Michael Andrews, who advised on the deal.
CBRE and Colliers acted as joint agents on the deal.
Cromwell is a diversified real estate group with $11.5bn of assets under management across Australia, New Zealand and Europe.